By Smart Chuks
SaharaNews247.com
In the crowded streets of Lagos, Aba, Onitsha and Ibadan, December is usually a time when traders count their profits and families make cautious plans for the new year. But this year, conversations are different. From factory floors to school staff rooms, from motor parks to civil service offices, Nigerians are asking the same uneasy question: how much more can we endure?
At the centre of this growing anxiety is a new set of tax laws signed by President Bola Tinubu and scheduled to take effect in January 2026. What government officials describe as bold fiscal reform has been rejected outright by the Nigeria Labour Congress, which represents millions of workers across the country. The labour movement insists that the tax law must be totally rejected, alleging that it was distorted after legislative approval and imposed without proper consultation.
For workers already struggling with high inflation, unstable electricity supply, fuel price hikes and shrinking wages, the tax controversy feels like another heavy weight placed on already bowed shoulders.
The NLC’s Defiant Stand
In a strongly worded statement titled Our Hope Lies in Collective Action, NLC President Joe Ajaero accused authorities of manipulating the tax law after it had been passed by the National Assembly. According to him, the version now published for implementation contains provisions that lawmakers never debated or approved.
This allegation, if proven, would amount to one of the most serious legislative scandals in Nigeria’s recent history. It would mean that the rules Nigerians are being asked to obey were not lawfully enacted.
But the NLC’s anger goes beyond questions of legality. The union believes the new tax law is unfair, anti-worker and capable of pushing millions deeper into poverty at a time when survival itself has become a daily struggle.
Life Before the Tax Law
To understand the depth of labour’s frustration, one must understand the current reality of Nigerian households.
Inflation has eaten deeply into incomes. Food prices have doubled in many markets within two years. Rent in major cities is beyond the reach of average workers.
Transportation costs have soared since the removal of fuel subsidies. Electricity supply remains unreliable, forcing families and small businesses to spend heavily on generators.
Against this background, wages have barely moved. The national minimum wage is still being debated in many states, and most private sector workers have not seen any meaningful pay raise.
For many Nigerians, the end of the month arrives long before the salary does.
What the New Tax Law Is Supposed to Do
The Tinubu administration insists that the tax reform is necessary.
Nigeria’s tax system is widely regarded as inefficient, fragmented and riddled with leakages. The new laws seek to harmonise multiple tax regulations, create a National Revenue Service, and coordinate federal and state tax collection.
Officials argue that without these reforms, Nigeria will remain trapped in a cycle of debt and underdevelopment. They say the reforms will broaden the tax base, reduce multiple taxation and improve transparency.
On paper, this is the language of progress. In practice, labour fears it may translate into heavier burdens on people who can least afford them.
Why Workers Feel Targeted
The Nigeria Labour Congress insists that when government talks about widening the tax net, it is often code for squeezing more from salary earners in the formal sector. These workers are already visible in the system, making them easy targets for compliance enforcement.
Meanwhile, large corporations, politically connected individuals and wealthy elites often escape their fair share of taxation through loopholes, waivers and weak enforcement.
The union believes that instead of chasing invisible wealth, government is preparing to tighten its grip on visible poverty.
Allegations of Distortion and Secrecy
Perhaps the most explosive part of the NLC’s campaign is its claim that the tax law was altered after being passed by the National Assembly.
Several lawmakers have echoed these concerns, saying the gazetted version does not reflect what was debated and approved. This has led to calls for an immediate suspension of implementation pending investigation.
For Nigerians who have grown weary of opaque governance, this allegation resonates deeply. It reinforces the belief that critical decisions affecting their lives are often made behind closed doors.
Political Fallout and Rising Opposition
The controversy has sparked reactions across the political spectrum.
Former Vice President Atiku Abubakar urged the President to halt the implementation and allow an independent review. Opposition parties have condemned the tax law as insensitive and out of touch with the suffering of ordinary Nigerians.
Civil society organisations have joined the call for transparency, warning that implementing a disputed law could trigger protests and destabilise an already fragile economy.
Government’s Response
The Presidency has defended the tax reform, insisting that it is essential for national development. Officials deny that the law was altered unlawfully and promise to resolve any discrepancies administratively.
But these assurances have done little to calm public anxiety. For many Nigerians, trust in government is no longer automatic. It must be earned.
Echoes from History
Nigeria has been here before.
In the 1940s, Lagos market women staged mass protests against colonial taxation policies they considered unjust. Their resistance reshaped public discourse around taxation and representation.
Today, organised labour is invoking that same spirit, reminding Nigerians that tax is not just a fiscal issue but a social contract between the state and its people.
What Is at Stake
If the tax law is implemented without broad consensus, the consequences could be severe.
Workers may see further erosion of their disposable income, pushing families closer to the edge. Small businesses may struggle to survive, leading to job losses. Investor confidence could waver as legal battles loom.
Most dangerously, the trust deficit between citizens and the state could deepen into open hostility.
The Road Ahead
As January approaches, Nigeria stands on uncertain ground.
The government can choose dialogue over imposition, transparency over secrecy, and inclusion over exclusion. Or it can proceed with a law that millions already view as illegitimate.
The Nigeria Labour Congress has drawn a clear line in the sand. Whether the Presidency steps back from the brink will determine not just the fate of a tax law, but the future tone of governance in Nigeria.
Conclusion
The demand by the Nigeria Labour Congress for the total rejection of the new tax law is not a cry for chaos. It is a plea for fairness, legality and humanity in policy-making.
Tax reform may be inevitable, but injustice is not.
As Nigerians brace for another uncertain year, one truth is becoming impossible to ignore. A nation cannot tax its way out of poverty without first winning the trust of its people.
About the Author
Smart Chuks is a senior investigative journalist with SaharaNews247.com, specialising in Nigerian labour relations, governance and economic policy. He has spent over a decade reporting on the struggles and resilience of ordinary Nigerians and is driven by a commitment to public accountability and social justice.
